News & Updates
The latest news and updates from companies in the WLTH portfolio.
Cerebras CEO Andrew Feldman Says Elon Musk Found a 'Pretty Good Idea' in Leasing SpaceXAI's Unused Grok Capacity to Anthropic
Benzinga and Yahoo Finance LLC may earn commission or revenue on some items through the links below. Cerebras Systems Inc. CEO Andrew Feldman says SpaceXAI, formerly xAI, moved into rented AI computing because its processors were not busy enough, as Grok drew less usage than expected. Feldman Blames Grok's Weak Early Adoption Speaking with Molly O'Shea on the Sourcery podcast on Monday, Feldman explained that Musk's company pivoted to an operator that rents out AI infrastructure because its Grok model struggled with early enterprise market adoption, leaving billions of dollars in hardware sitting idle. "You have to ask why they had available capacity," Feldman said. "They had available capacity because the Grok model wasn't used very much." Cerebras CEO @andrewdfeldman explains why @elonmusk and SpaceXAI made a deal to lease GPUs to Anthropic: "You have to ask why they had available capacity... They had available capacity because the Grok model wasn't used very much." "They had these GPUs sitting around, and... https://t.co/1IHsE98NR3 pic.twitter.com/ssomhhLJJl -- sourcery (@sourceryy) July 13, 2026 Trending: Avoid the #1 Investing Mistake: How Your 'Safe' Holdings Could Be Costing You Big Time Feldman said SpaceXAI could not afford to leave equipment idle. "They had these GPUs sitting around, and that's a bad idea," he said. He pointed to IPO-bound Anthropic's agreement to use SpaceX's Colossus 1 data center in Memphis, Tennessee. Anthropic said the site provides more than 300 megawatts through over 220,000 Nvidia GPUs, allowing it to double Claude Code limits, remove peak-hour reductions and raise API ceilings. "They leased a whole block of them to Anthropic, and looked up and said, 'Whoa, that's a pretty good idea,'" Feldman said. "We had all these GPUs. Our model wasn't a success, but we can have a great business by stepping into what is a constrained market." Anthropic Deal Monetizes Idle GPU Capacity In May, Anthropic agreed to pay $1.25 billion per month for Colossus and Colossus II capacity through May 2029. Both sides can terminate with 90 days' notice, and Musk described the arrangement as a six-month lease, leaving its long-term value uncertain. See Also: Skip the Regrets: The Essential Retirement Tips Experts Wish Everyone Knew Earlier. Colossus 1 supported Grok's development, but Reuters described its capacity as unused prior to the Anthropic agreement. SpaceXAI said Grok 4.5 trained across tens of thousands of Nvidia GB300 processors.
Anthropic official says stopping AI usage is 'the wrong' response to AI cost concerns
* Anthropic officials are cautioning companies against knee-jerk reactions to rein in AI use. * Angela Jiang, head of product for the Claude Platform, said some customers are making those sorts of moves. * The initial tokenmaxxing hype has morphed into a more ROI-focused moment. Top Anthropic officials are cautioning against companies cutting back on their AI use as costs increase. "Something that's really top of mind for us that we kind of try to spend some time with users on is what you don't want to do is stop AI usage. That's kind of the wrong move," Angela Jiang, head of product for the Claude Platform, recently told Sequoia Capital's "Training Data" podcast. "And we do actually see some of our customers do that." Katelyn Lesse, head of platform engineering at Anthropic, said the focus on costs was part of "a normal natural cycle for companies" as they figure out the best way to deploy AI. "The thing that gets dangerous is when you're kind of just like, here's a cap and you're stuck within your cap," said Lesse, who joined Jiang for the interview. Jiang said that Anthropic often finds that AI spending has "erupted" in companies where employees procure Anthropic's AI models themselves through "some kind of shadow IT." Instead of curtailing usage, she said companies can find ways to use AI more efficiently. "What we try to kind of encourage our customers is like, you don't want to stop the innovation," she said. "If you are getting returns on top of this, you are shipping faster than ever before, you can run more operationally efficient -- then those are gains." Lesse said it's about "encouraging innovation" while understanding the different ways to get the desired result. "One is like you take Opus and you run it all night and you do something crazy," she said. "And another is maybe to get a little bit smarter with the strategies that you put together in order to create that same outcome within a lower cost. And I think that's the next layer of thinking that everyone's going to start to do." AI companies are facing an increasingly skeptical Corporate America that sees rising AI bills without what some executives have said is an adequate ROI to justify the spending. In response, AI companies like Anthropic have emphasized the cost efficiency of their models and services, which can better tailor AI to specific enterprise needs. Cost concerns could weigh on the broader AI market as companies like Anthropic approach highly anticipated IPOs. A new kind of router. Companies like Vercel are seizing this cost-conscious moment by offering customers a way to route their AI usage to the best model suited for the task. Analysts have said that routing requests will remain in high demand so long as AI token costs remain high.
SpaceX's slide risks turning blockbuster IPO into confidence test
NEW YORK -- SpaceX's slip close to its initial public offering price risks turning a marquee stock-market debut into a confidence test, potentially unsettling retail investors and complicating decisions for other companies weighing high-profile listings. Elon Musk's company, spanning rockets to AI, debuted on June 12 and soared in the ensuing days, at one point valuing the company at well above US$2 trillion. Since then, trading has been rocky. The stock has slipped below its $150 opening price, but remained above the $135 offer price, with concerns about lofty tech stock valuations continuing to weigh on global indexes. SpaceX shares are at risk of falling below that level. They ended on Tuesday down 2.2 per cent at $136.08, their lowest closing level since the IPO, a week after they started trading as part of the Nasdaq 100 index. The stock dipped as low as $135.52. A break below the IPO price would be a psychological blow for SpaceX shares, said Matthew Maley, chief market strategist at Miller Tabak. "It raises the narrative that the stock is up on fluff, on speculation, on froth, and not on real fundamentals," Maley said. Investors who bought into the excitement around SpaceX's listing, "hoping to 'make a killing' will be disappointed," said Greg Halter, director of research at Carnegie Investment Counsel. He said weakness in SpaceX would put it more in line with 30 years of heavily hyped IPOs, where average and median returns over the first month are often negative. SpaceX did not immediately respond to a request for comment. Price discovery not panic? A drop below the IPO price would not be unusual for a newly listed company. Shares of Cerebras Systems, which went public in May, have dropped below the IPO price, and Meta, formerly known as Facebook, fell similarly after its debut. Investors often fixate on IPO prices and early trading, said Ryan Lee, senior vice president of product and strategy at financial services firm Direxion. "The reality is, (SpaceX) is still undergoing some of this price discovery process," Lee said. A fall for SpaceX below $135 would reflect "normal, albeit painful" market mechanics, especially as investors, venture capitalists and employees sell shares after lockups expire, said Gabriel Shahin, CEO at Falcon Wealth Planning. "A near-term dip below the $135 threshold would not fundamentally alter our current positioning or cause us to panic-sell," he said. Caution or green light for next IPOs? Some investors think SpaceX's stock performance could influence the market for future public listings. OpenAI and Anthropic are eyeing the public markets. Neither company responded to a request for comment. Carnegie's Halter said companies and investment banks considering large IPOs this year are watching SpaceX closely. "No one wants an IPO to flop or have the initial price be ratcheted down," Halter said. He suspects some IPOs would be pulled rather than priced at lower valuations. But Direxion's Lee said SpaceX's capital raise could encourage some companies with large funding needs to move faster. "If I'm OpenAI or if I'm Anthropic and I'm in this true arms race to build the frontier AI model and I need capital, I'm going to try to beat the other one out the door," Lee said. Risking retail traders' skepticism A drop below the IPO price could hit retail investors, who received about 20 per cent of the allocation, hard. "Many novice investors have approached SpaceX with a 'meme stock' mentality, buying in with capital they cannot afford to lose," Shahin said, warning that losses could fuel perceptions that markets favor insiders. "The market needs to understand that post-IPO volatility is normal." SpaceX's first earnings report will be a major test for the stock. Underwriters typically support stocks in the first 30 days and may do more for SpaceX given the deal's size, the public attention and the fact other high-profile offerings are imminent, said Maria Llerena, director of financial research at Domini Impact Investments. "Loss-making companies without a clear path to profitability are typically volatile and can fall below their IPO price," said Llerena.
Hindi Claude's Personality Is Different From Others: Anthropic Research
Anthropic says Claude's personality shifts depending on the language it speaks File photo ShowQuick Read Summary is AI-generated, newsroom-reviewed * Claude AI shows varied behavior across languages, being warmest in Hindi and Arabic * It emphasizes warmth in Arabic and Hindi, and rigor in English and Russian responses * Differences may stem from uneven training data quantity and composition across languages Can I choose the personality style I want Claude to use? Anthropic's AI model Claude behaves quite differently depending on the language, the AI major revealed in a research report. It found Claude was warmest in Hindi and Arabic, using more polite, playful, and encouraging language. When Claude speaks in English, it emphasizes different values than when it speaks in Hindi, Arabic, Portuguese, or Chinese. "The largest variation is in the Warmth vs. Rigor axis, with Claude leaning toward expressing warmth-related values most in Arabic and Hindi and rigor-related values most in English and Russian," the company said. The company grouped Claude's responses along several value dimensions; one of them was the "Warmth vs. Rigor" axis, which measures whether the AI tends to be more empathetic, encouraging and conversational, or more analytical, precise and matter-of-fact in its responses. Anthropic explained using the example of two people asking for feedback on the same business plan, one in Hindi and one in Russian, may come away with different impressions of its quality because Claude expressed different values in how it framed its assessment. The company itself is not sure what drives these differences. "We don't yet know which properties of our training data drive these differences. One possibility is that our training data is not evenly distributed across languages. Some languages have far more data than others, and training for Claude to express consistent values may be more effective in languages where data is abundant." "The composition of that data also varies. Some languages might be overrepresented in professional writing, for example, and this kind of text may reflect different values. Together, these imbalances in quantity and composition could lead Claude to express different values in different languages." Anthropic admitted it wasn't yet sure how much of this variation was desirable. "Different languages carry different conversational norms, and Claude may be responding with different values based on those norms." Claude may also be more closely matching humans' intended behaviour for some languages than others, resulting in a gap in how well Claude serves certain language communities. Anthropic researchers analysed more than 309,000 Claude conversations to study how it expressed values. They found that while Claude's core behaviour remained broadly consistent, the way it communicated could shift significantly depending on the language being used. Got a follow‑up question on this article? Go on How may i help you today Show full article Track Latest News Live on NDTV.com and get news updates from India and around the world
Inside Anthropic's state-by-state plan to ratchet up AI rules
Artificial intelligence giant Anthropic is pursuing a strategy of one-upmanship that encourages states to impose increasingly tougher AI guardrails, rather than align around a single set of regulations. The approach stands in stark contrast to the one favored by the company's archrival, OpenAI, which has pushed state lawmakers toward common ground on regulating the breakthrough technology. "While there are some in the industry that think of state policy as a way to create a ceiling for federal legislation, Anthropic is not just looking to support the same bill across the country in every single state," Cesar Fernandez, the company's head of U.S. state and local government relations, said in an interview with POLITICO -- which, like Business Insider, is part of the Axel Springer Global Reporters Network -- on Tuesday. "We're looking for legislation that meaningfully raises the bar on safety for the most capable AI systems." Fernandez's comments came in response to questions from POLITICO about OpenAI's ongoing campaign to shape states' AI regulations. The ChatGPT maker's top lobbyist, Chris Lehane, has coined the term "reverse federalism" to describe its attempts to bypass a paralyzed Congress and build a national AI framework by mirroring bills state-by-state. The veiled jab at OpenAI is on-brand for Anthropic, whose executives left OpenAI in 2020 over concerns the company wasn't prioritizing safety. Anthropic has consistently pushed for stronger AI safety rules at both the federal and state level -- an effort that some critics, particularly those close to the Trump administration and in venture capital, frame as an attempt to hamstring regulators and lock out competitors. In a statement, OpenAI spokesperson Liz Bourgeois defended its approach, saying "reverse federalism, where effective state safeguards shape national standards, helps regulators enforce the law, gives the public clearer protections, and allows developers to focus resources on safety rather than conflicting requirements." The split between OpenAI and Anthropic's approach to statehouses comes at a critical time for AI regulation. With Congress reluctant to act and the White House flip-flopping between a light touch and a heavy hand, the AI industry is increasingly looking to states for regulatory clarity. Whether state legislators ultimately coalesce around a single AI safety framework or work to outdo each other over time will have a massive impact on the final shape of AI rules in the U.S. Similar to Lehane, Fernandez said he wants a federal framework, but that a government response to the risks posed by advanced AI models "can't wait for action in Washington." The Anthropic lobbyist also set his company apart by touting its early inroads into state policy debates. Anthropic was the only leading AI lab to endorse California's 2025 law to regulate advanced AI models, the first such law in the country. OpenAI didn't take a position on the California proposal ahead of its passage. But it has since turned to the law, which aims to foster greater transparency into companies' safety plans, as an example for other states to replicate. Anthropic, on the other hand, saw the California law as a springboard to ratchet up its efforts on AI safety. Fernandez said the rapid development of increasingly powerful AI models was the main factor behind his company's endorsement of more ambitious bills -- in New York, Illinois and now Massachusetts -- and its move to weigh in earlier in the legislative process. "Each one of those bills was stronger than the previous bill, and the bills all moved real safety obligations forward," Fernandez said. "Transparency and self-reporting, we don't believe are sufficient anymore." He pointed to Anthropic's powerful Claude Mythos model, which the company found to be capable of exploiting security flaws in every major computer operating system during its testing. The cybersecurity concerns raised by Mythos (and its public-facing version, known as Fable) sparked panic inside the Trump administration, which slapped export controls on the technology until Anthropic and the government could address alleged vulnerabilities. Late last year, OpenAI lobbyists successfully pressed New York Gov. Kathy Hochul to amend her state's AI safety bill to more closely resemble California's rules. But to the surprise of some safety advocates, it joined Anthropic in backing an Illinois measure seen as stricter than those in New York and California. That proposal, signed into law this month by Gov. JB Pritzker, requires leading AI companies to submit to annual independent third-party audits of their safety plans -- a first-of-its-kind mandate. Anthropic is pushing the bar further. In late June, it endorsed regulations under development in Massachusetts for an economic development bond bill that Anthropic calls the nation's strongest state AI safety proposal. The language it supported included a requirement for leading AI companies to hire independent evaluators to assess the potential for catastrophic risks such as the technology assisting in the development of bioweapons, as well as a provision empowering the state's attorney general to enforce that mandate. Bourgeois, the OpenAI spokesperson, said the company is still reviewing the Massachusetts proposal, but added OpenAI supports the state legislature's focus on AI safeguards. The AI giants have also clashed on the campaign trail. Each is associated with dueling super PAC networks that so far have sunk tens of millions of dollars into political campaigns across the country. And in June, Anthropic started cutting checks directly to California legislators. "We back candidates for election and re-election when their point of view of AI safety regulation is aligned with our mission to make sure that the transition to a world with powerful AI does well for people in this country and throughout the world," Fernandez said. "We're very much supporting candidates where there's ideological alignment." Fernandez said the company isn't coordinating with employees who also have made contributions to political candidates in California and elsewhere. "We don't direct our employees to make contributions, but they work at Anthropic because they're concerned about the future of AI and where this is headed if there's not proper safety policy that's enacted by governments," said Fernandez. "I would assume that that drives them to engage in the political process." The Axel Springer Global Reporters Network harnesses the resources of the company's newsrooms to publish ambitious scoops, investigations, interviews, opinion pieces and analysis. It allows journalists -- including those from POLITICO, Business Insider, WELT, BILD, Onet and Fakt -- to collaborate on major stories for an international audience of hundreds of millions across platforms: online, print, TV and audio.
Canada regulator warns major banks on Anthropic AI cyber risks - report
Canada's federal banking watchdog alerted the country's financial institutions on risks tied to Anthropic's Claude Mythos and other advanced AI models, reported Reuters. According to the regulator, the technology could increase cyber threats and reduce the time available to detect and patch vulnerabilities. The Office of the Superintendent of Financial Institutions (OSFI) sent the message to chief technology officers, chief information security officers and chief risk officers across the financial sector, including large banks and insurers, according to documents Reuters obtained through an access-to-information request. Authorities in several jurisdictions are examining cybersecurity concerns linked to Anthropic's frontier AI model Mythos. The model has been described as highly capable of identifying and exploiting cybersecurity vulnerabilities, creating challenges for banks and their older technology systems. "Advanced artificial intelligence models, such as Anthropic Claude Mythos, significantly compress the timeframe for effective risk mitigation," OSFI said in an email. "Accordingly, this bulletin is grounded in our existing guidance and outlines sound practices that institutions can adopt to enhance the speed and effectiveness of risk identification, mitigation and response." Recognition of the risks associated with Mythos by OSFI may lead Canadian banks, insurers and other regulated institutions to put more resources into technology aimed at protecting clients from cyber threats, noted the news agency. In a statement to Reuters, the regulator said: "OSFI takes a technology‑neutral, risk‑focused approach to emerging technologies, including advanced artificial intelligence models such as Mythos. Our focus is not the technology itself, but how federally regulated financial institutions govern and manage the risks associated with its use." In early April, Canadian banking executives met regulators to discuss risks linked to Mythos, shortly after US Treasury Secretary Scott Bessent and then-Federal Reserve Chair Jerome Powell held an urgent meeting with bank chief executives to warn about cyber risks connected to Anthropic's latest AI model. OSFI sent the email to company executives in April. The cyber capabilities of some frontier AI systems are considered that access has been restricted, with currently excluded from Mythos. Three of Canada's big six banks, Royal Bank of Canada, TD Bank and BMO, have set out plans to make millions from AI investments as they moved from trial projects to uses such as chatbots, internal tools and reducing dependence on third-party tools.
Anthropic Wants You To Know They Can Destroy Us All
Anthropic and its leader of catastrophe Dario Amodei just put out an ad that starts out telling people AI will take over your life, job, and even be a better caregiver than you. The second half tries to give hope with propaganda. It's idiotic. It doesn't appear to achieve what it is supposed to achieve. The ad is a bit insulting if they think it will convince us of anything other than AI will destroy us. The ad purports to ask the tough questions and then give us hope. The questions aren't tough, and it gives me no hope. It's basically the bird covered in oil after a spill, followed by a showing of the movie Airplane. Watch: Anthropic has 32 very scary job openings for roles designed to prevent people from using AI to build everything from homemade explosives to nuclear weapons, Axios' Madison Mills and Maria Curi write. We are all going to die thanks to AI. Lunatics like this will be able to build nuclear weapons:
Anthropic Deepens India Push With Local Claude AI Pricing The Mainstream
By introducing India-specific subscription plans for Claude, the AI startup is reinforcing its commitment to one of the world's fastest-growing markets for generative AI adoption. Anthropic has introduced local pricing for its Claude AI subscriptions in India, allowing users to access premium plans in rupees rather than through international billing. The move covers its Pro, Max and Team offerings and is aimed at making the platform more accessible to Indian users, ranging from individual developers and students to enterprises increasingly experimenting with generative AI tools. The announcement reflects India's growing strategic importance in the global AI landscape. With one of the world's largest developer communities, a rapidly digitising economy and rising enterprise adoption of artificial intelligence, India has become a critical growth market for global AI companies seeking to expand beyond North America and Europe. Anthropic's latest move also highlights how competition in the generative AI market is evolving. The race is no longer solely about building the most advanced models; it is increasingly centred on ecosystem development, developer engagement and market-specific strategies. For India, the development further cements its position as a major centre of AI demand and innovation. Anthropic's India pricing initiative is therefore more than a commercial update. It is another indication that India is emerging as one of the most influential markets shaping the future of the global AI economy. Also read: Viksit Workforce for a Viksit Bharat Do Follow: The Mainstream LinkedIn | The Mainstream Facebook | The Mainstream Youtube | The Mainstream Twitter About us: The Mainstream is a premier platform delivering the latest updates and informed perspectives across the technology business and cyber landscape. Built on research-driven, thought leadership and original intellectual property, The Mainstream also curates summits & conferences that convene decision makers to explore how technology reshapes industries and leadership. With a growing presence in India and globally across the Middle East, Africa, ASEAN, the USA, the UK and Australia, The Mainstream carries a vision to bring the latest happenings and insights to 8.2 billion people and to place technology at the centre of conversation for leaders navigating the future.
Anthropic hires ex-BHSI exec Shokrai to lead business risk and insurance | The Insurer
Anthropic has appointed former Berkshire Hathaway executive Monica Shokrai as head of business risk and insurance, she said on LinkedIn on Tuesday. Shokrai said she would strengthen Anthropic's risk management in support of "safe, responsible and cutting-edge AI research", partnering with the broader insurance industry to shape the future of AI-centred coverage. Shokrai has worked with insurers and brokers including Berkshire Hathaway and WTW. She also oversaw Google's insurance segment for almost eight years. In June, Anthropic said would expand its Project Glasswing initiative to a further 150 organizations, quadrupling access to its Claude Mythos Preview AI model, which had previously been available only to an initial cohort of roughly 50 partners.
Anthropic Said Nothing About the Vendor That Mattered
Evidence-first essays on policy and society across regions. We follow money, rules, and outcomes -- and name the trade-offs. TECHNOLOGY & AI · The three weeks between a breach nobody discussed and a model nobody was supposed to reach Anthropic said nothing when its training-data contractor lost forty thousand people's passports to a hacking group. Three weeks later, it built a model it called too dangerous to release -- and lost control of it on launch day. The silence and the breach are not the same incident. They are the same shape. In March, Mercor -- the staffing firm that recruits, vets, and pays the human experts who train frontier models for OpenAI, Anthropic, and Meta -- was hit by a supply-chain attack that began in an open-source security scanner, jumped to a widely used AI gateway library called LiteLLM, and ended with attackers inside Mercor's systems. The mechanism was almost embarrassingly simple: a tainted update to a Python package that millions of developers trust by default, executing automatically the moment it was installed, harvesting whatever API keys and credentials it found and handing...
Strange New Ad By Anthropic Implies That AI Might End Us All, But... [Watch]
American AI company, Anthropic, is one of the leaders in the artificial intelligence movement (and one of the most valuable). And they have just released ad advert that is, to say the least, ominous. This is despite putting on its most concerned face so it can convince you they're the good guys in the industry. The commercial was released last week, and it took an unorthodox approach to promoting its technology. Instead of going the expected optimism route, it starts with a series of bleak images as we hear voiceovers from different speakers ask some really hard-hitting questions about AI. In fact, you might at first think that you are actually watching a PSA. It starts with a house on fire, then someone asks, "Can AI be trusted?" as footage that looks like surveillance with an AI algorithm scanning the faces of everyone in a crowd appears. Right after this is the most striking sequence. Another voice says, "Who's going to hit the brakes if we need to?" as it cuts to footage of a cemetery lined with hundreds of headstones. Way to sell your product Anthropic. In the eyes of Anthropic, this is a feel-good story. The tagline for the ad is, "There's hope in hard questions," which is meant to reassure viewers that that their concerns over AI - like its potential to destroy jobs or erode or ability to think - are all perfectly valid and that they are questions that the minds behind the company are grappling with as well. It didn't take long for the commercial, which aired during the World Cup quarterfinal clash between Argentina and Switzerland over the weekend, to draw criticism online. One person commented, "When we raise the question of stopping a dangerously powerful superintelligence we show 300 American gravestones for half a second". Even Sam Altman chimed in, saying, "I thought this was satire". A key part of the ethos of Anthropic is that they want to focus on safe AI development. Recently, the company even called for a global "pause" on AI development because it feared the technology could spiral out of human control. One person responding to the ad said it best: "Can Anthropic be trusted?" And that's the real hard question.
![Strange New Ad By Anthropic Implies That AI Might End Us All, But... [Watch]](https://media.2oceansvibe.com/wp-content/uploads/2026/07/annie-spratt-YRe-jV7fRFs-unsplash-scaled.jpg)
Canada regulator warns major banks on Anthropic AI cyber risks - report
Canada's federal banking watchdog alerted the country's financial institutions on risks tied to Anthropic's Claude Mythos and other advanced AI models, reported Reuters. According to the regulator, the technology could increase cyber threats and reduce the time available to detect and patch vulnerabilities. The Office of the Superintendent of Financial Institutions (OSFI) sent the message to chief technology officers, chief information security officers and chief risk officers across the financial sector, including large banks and insurers, according to documents Reuters obtained through an access-to-information request. Authorities in several jurisdictions are examining cybersecurity concerns linked to Anthropic's frontier AI model Mythos. The model has been described as highly capable of identifying and exploiting cybersecurity vulnerabilities, creating challenges for banks and their older technology systems. "Advanced artificial intelligence models, such as Anthropic Claude Mythos, significantly compress the timeframe for effective risk mitigation," OSFI said in an email. "Accordingly, this bulletin is grounded in our existing guidance and outlines sound practices that institutions can adopt to enhance the speed and effectiveness of risk identification, mitigation and response." Recognition of the risks associated with Mythos by OSFI may lead Canadian banks, insurers and other regulated institutions to put more resources into technology aimed at protecting clients from cyber threats, noted the news agency. In a statement to Reuters, the regulator said: "OSFI takes a technology‑neutral, risk‑focused approach to emerging technologies, including advanced artificial intelligence models such as Mythos. Our focus is not the technology itself, but how federally regulated financial institutions govern and manage the risks associated with its use." In early April, Canadian banking executives met regulators to discuss risks linked to Mythos, shortly after US Treasury Secretary Scott Bessent and then-Federal Reserve Chair Jerome Powell held an urgent meeting with bank chief executives to warn about cyber risks connected to Anthropic's latest AI model. OSFI sent the email to company executives in April. The cyber capabilities of some frontier AI systems are considered that access has been restricted, with currently excluded from Mythos. Three of Canada's big six banks, Royal Bank of Canada, TD Bank and BMO, have set out plans to make millions from AI investments as they moved from trial projects to uses such as chatbots, internal tools and reducing dependence on third-party tools. Bank of Nova Scotia, CIBC and National Bank have also disclosed several AI initiatives. The Canadian government has access to Anthropic's Project Glasswing, which allows companies to have access to Mythos. It is unclear which, if any, banks in Canada are using it.
SpaceX's slide risks turning blockbuster IPO into confidence test
NEW YORK, July 15 (Reuters) - SpaceX's slip close to its initial public offering price risks turning a marquee stock-market debut into a confidence test, potentially unsettling retail investors and complicating decisions for other companies weighing high-profile listings. Elon Musk's company, spanning rockets to AI, debuted on June 12 and soared in the ensuing days, at one point valuing the company at well above $2 trillion. Since then, trading has been rocky. The stock has slipped below its $150 opening price, but remained above the $135 offer price, with concerns about lofty tech stock valuations continuing to weigh on global indexes. SpaceX shares are at risk of falling below that level. They ended on Tuesday down 2.2% at $136.08, their lowest closing level since the IPO, a week after they started trading as part of the Nasdaq 100 index <.NDX>. The stock dipped as low as $135.52. A break below the IPO price would be a psychological blow for SpaceX shares, said Matthew Maley, chief market strategist at Miller Tabak. "It raises the narrative that the stock is up on fluff, on speculation, on froth, and not on real fundamentals," Maley said. Investors who bought into the excitement around SpaceX's listing, "hoping to 'make a killing' will be disappointed," said Greg Halter, director of research at Carnegie Investment Counsel. He said weakness in SpaceX would put it more in line with 30 years of heavily hyped IPOs, where average and median returns over the first month are often negative. SpaceX did not immediately respond to a request for comment. PRICE DISCOVERY NOT PANIC? A drop below the IPO price would not be unusual for a newly listed company. Shares of Cerebras Systems, which went public in May, have dropped below the IPO price, and Meta, formerly known as Facebook, fell similarly after its debut. Investors often fixate on IPO prices and early trading, said Ryan Lee, senior vice president of product and strategy at financial services firm Direxion. "The reality is, (SpaceX) is still undergoing some of this price discovery process," Lee said. A fall for SpaceX below $135 would reflect "normal, albeit painful" market mechanics, especially as investors, venture capitalists and employees sell shares after lockups expire, said Gabriel Shahin, CEO at Falcon Wealth Planning. "A near-term dip below the $135 threshold would not fundamentally alter our current positioning or cause us to panic-sell," he said. CAUTION OR GREEN LIGHT FOR NEXT IPOS Some investors think SpaceX's stock performance could influence the market for future public listings. OpenAI and Anthropic are eyeing the public markets. Neither company responded to a request for comment. Carnegie's Halter said companies and investment banks considering large IPOs this year are watching SpaceX closely. "No one wants an IPO to flop or have the initial price be ratcheted down," Halter said. He suspects some IPOs would be pulled rather than priced at lower valuations. But Direxion's Lee said SpaceX's capital raise could encourage some companies with large funding needs to move faster. "If I'm OpenAI or if I'm Anthropic and I'm in this true arms race to build the frontier AI model and I need capital, I'm going to try to beat the other one out the door," Lee said. RISKING RETAIL TRADERS' SKEPTICISM A drop below the IPO price could hit retail investors, who received about 20% of the allocation, hard. "Many novice investors have approached SpaceX with a 'meme stock' mentality, buying in with capital they cannot afford to lose," Shahin said, warning that losses could fuel perceptions that markets favor insiders. "The market needs to understand that post-IPO volatility is normal." SpaceX's first earnings report will be a major test for the stock. Underwriters typically support stocks in the first 30 days and may do more for SpaceX given the deal's size, the public attention and the fact other high-profile offerings are imminent, said Maria Llerena, director of financial research at Domini Impact Investments. "Loss-making companies without a clear path to profitability are typically volatile and can fall below their IPO price," said Llerena. (Reporting by Laura Matthews in New York; Additional reporting by Lewis Krauskopf in New York; editing by Megan Davies and Rod Nickel)
Anthropic Makes Claude Free for All US K-12 Teachers With Standards-Aligned Agentic AI
Free access comes with state-standards alignment, agentic scheduling, and nine edtech connectors. Verified U.S. K-12 teachers can now claim a full year of free premium Claude AI -- not a trimmed-down chatbot, but the same agentic platform that runs Claude Code and Cowork -- as Anthropic on Tuesday launched Claude for Teachers, a product that pairs free premium access with a curriculum database covering every academic standard in all 50 states, nine edtech platform integrations, and FERPA-aligned data terms co-developed with the American Federation of Teachers. Any educator who signs up before June 30, 2027 gets a full year of access at no cost. The launch arrives in a market where Anthropic's biggest competitors have been giving away comparable tools for months. ChatGPT for Teachers launched in November 2025 and is also free for verified U.S. K-12 educators through June 2027. What distinguishes Claude for Teachers is not the free tier, but the architecture underneath it: a standards-aligned data layer called Learning Commons, an open-source library of pedagogy-grounded teaching skills, and nine integrations implemented as Model Context Protocol (MCP) connectors -- the same standardized protocol Anthropic has been building as industry infrastructure since late 2024. This is the same protocol now adopted by OpenAI and Google DeepMind as the de facto standard for connecting AI agents to external systems. This Is Not a Lesson-Plan Generator Claude for Teachers works differently from a general-purpose AI assistant because it knows the specific thing a teacher is working toward before it generates anything. When an educator asks for a lesson on, say, constructing linear functions, Claude queries Learning Commons -- a structured database that maps each of the roughly 150,000 academic standards across all 50 states to the smaller learning competencies each standard contains and the developmental order students typically learn them in -- and scaffolds the lesson accordingly, rather than generating plausible-sounding content that a teacher must then verify against their actual curriculum. Trusted open curricula -- specifically OpenSciEd for science and IM v.360 from Illustrative Mathematics -- are also accessible as sources Claude can draw from when building lessons, adding a layer of subject-matter rigor that distinguishes this from general-purpose AI output. Research supports the design choice. A March 2026 review of more than 800 academic papers on AI and K-12 education from Stanford's SCALE Initiative found that AI tools built with pedagogical guardrails -- systems that guide student reasoning rather than providing direct answers -- showed more promising outcomes than general-purpose chatbots. The 2026 OECD Digital Education Outlook similarly found that co-designing AI tools with teachers can amplify instructional capacity in ways that neither teachers nor AI achieve independently. How the Nine Edtech Integrations Actually Work The nine edtech partners -- ASSISTments, Brisk Teaching, Canva Education, Coteach, Diffit, Eedi, MagicSchool, Snorkl, and TeachFX -- connect to Claude through Anthropic's Model Context Protocol, an open standard the company introduced in November 2024 and donated to the Linux Foundation in December 2025. MCP works by having each partner run an MCP server that advertises specific tools and data resources; Claude's MCP client queries those servers as needed and injects the results into its context window, as described in Anthropic's technical introduction to the protocol. This is the same protocol now adopted by OpenAI and Google DeepMind as the de facto standard for connecting AI agents to external systems. In practical classroom terms: ASSISTments generates auto-scored, standards-aligned math problems for practice and assessment. Eedi surfaces diagnostic questions in both English and Spanish that reveal why a student got a problem wrong, not just that they did. TeachFX gives personalized instructional feedback grounded in real classroom audio. The breadth signals Anthropic's strategic intent. By building these connections on an open protocol and simultaneously releasing an open-source teaching skills repository, Anthropic is positioning Claude as an integration layer for K-12 AI tools -- not just another product competing alongside them. Other education-technology builders can implement the same MCP standard to make their tools Claude-compatible, compounding the network effect. Agentic Scheduling: AI That Works After School Hours Claude for Teachers includes full access to Claude Code and Cowork, the agentic components of Anthropic's platform that let Claude carry multi-step work forward without continuous human prompting. In the context of teaching, this means a teacher can hand Claude a folder of exit tickets, attendance data, and class notes before leaving school, set a recurring task to run at 4 p.m. each school day, and receive a synthesized picture of what each student mastered and a proposed adaptation for the next day's lesson plan -- without prompting Claude again, as SQ Magazine's review of the launch documents. This is a substantive shift from how AI assistance has worked in education. Most classroom AI tools are reactive: a teacher types a request, the AI responds, the teacher decides what to do with it. Agentic workflows are proactive: the teacher sets parameters once, and the AI executes repeatedly and autonomously. That distinction matters because it changes what kind of cognitive labor teachers are doing -- from prompting and reviewing to designing the task upfront and reviewing the output. Whether that shift improves or displaces teacher judgment is a live research question. Stanford's SCALE review found limited causal evidence specifically on agentic teacher tools, given how recently such tools have become available. Privacy Architecture and What FERPA-Aligned Actually Means Education technology has an established and concerning track record on student data. In December 2024, hackers exfiltrated more than 62 million student records and nearly 10 million teacher records from PowerSchool -- a student information system serving approximately 16,000 schools -- in the largest breach of children's data in U.S. history. The perpetrator was sentenced in October 2025; as TechPolicy Press documented, the systemic vulnerabilities that made the breach possible remain largely unaddressed in the industry. Anthropic has built Claude for Teachers with that history in mind. Teacher account data is not used for model training. Student information is covered by a K-12 Data Processing Addendum -- a contractual document published at anthropic.com/legal/k12-dpa -- written to comply with FERPA's requirements. The product is restricted to educators only, consistent with Claude's existing policy requiring users to be at least 18 years old, meaning students cannot interact with the system directly. Anthropic also specifies a service level agreement for deleting stored conversations containing student data. A critical word choice matters here. Anthropic describes these protections as "FERPA-aligned" -- not "FERPA-compliant." The distinction is legal, not semantic. Alignment means the contractual terms are written with FERPA's requirements in mind. Compliance is a determination that applies to each specific district's implementation. Whether a given school's use of Claude for Teachers actually satisfies FERPA depends on that district's specific data governance setup, which teachers should confirm with district administrators and legal counsel rather than assuming the addendum settles the question under federal FERPA law. Anthropic is also working with the American Federation of Teachers to develop a "Gold Standard" for industry best practices on AI safety and privacy in K-12 education. AFT President Randi Weingarten offered measured support for the launch, saying the union has been working with Anthropic toward those standards and welcomed its commitment to them, according to Benzinga's coverage of the announcement. Notably, while the AFT is collaborating with Anthropic, OpenAI, and Microsoft on privacy and educator training, it is not doing so with Google -- which recently struck a separate deal with Utah's state education board to bring Gemini AI into every K-12 school in the state, as Chalkbeat reported. Claude for Teachers vs. ChatGPT for Teachers Anthropic is entering a market where OpenAI arrived first. ChatGPT for Teachers launched in November 2025 and is also free for verified U.S. K-12 educators through at least June 2027, with similar FERPA-aligned commitments, admin controls for district leaders, and integrations with Google Workspace and Microsoft 365. The programs are structurally similar: both trade free access to educators for product feedback, privacy reputation, and future district-tier business. Claude for Teachers differentiates in three specific ways. First, the Learning Commons layer provides standards-aligned lesson scaffolding at a finer granularity than general-purpose AI -- not just state standards but the learning progressions beneath each standard. Second, the agentic scheduling capabilities (Claude Code + Cowork) are not present in the current ChatGPT for Teachers offering. Third, Anthropic is releasing its teaching skills library as open-source, inviting other builders to construct compatible tools rather than closing the ecosystem around its own product. The competitive pressure is accelerating. Use of AI among teachers has roughly doubled: Chalkbeat reported that an Education Week survey found around 61 percent of teachers reported using AI in some capacity in 2025, compared with approximately 32 percent in 2024. Detroit Pilot Will Test What the Evidence Actually Shows Anthropic will pilot Claude for Teachers in the Detroit Public Schools Community District, beginning with the next school year. Detroit was selected in part because the district was already using Claude products and had adopted them in what Anthropic described as a human-centric way. Teachers at a small number of schools will receive training, after which Anthropic will formally evaluate how the product shapes instructional practice and educator wellbeing. The pilot is notable because the evidence base for AI tools specifically designed for teachers -- as opposed to student-facing tutoring systems -- is still thin in terms of rigorous causal studies. The Stanford SCALE 2026 review found the existing evidence on educator-facing tools is suggestive but limited; most studies are observational rather than experimental. The Detroit pilot, if run with the rigor implied by the Gates Foundation partnership framing, could add meaningfully to that base. Skeptics remain. Education researchers have raised concerns that AI-assisted lesson planning, if not carefully implemented, risks reducing the kind of deep content engagement that produces expertise over time, and that the automation of instructional decisions introduces accountability gaps when an AI-adapted plan produces poor results. Those concerns apply most sharply to student-facing AI; the evidence on teacher-facing tools is more favorable. Norway's government, which banned generative AI for students in grades one through seven starting August 2026 after citing declining test scores, drew an explicit line between student-facing and teacher-facing use -- a distinction aligned with where current research points, as TechTimes reported in June 2026. These efforts are part of Anthropic's partnership with the Gates Foundation to co-develop tools that improve educational outcomes for K-12 students. How to Sign Up Claude for Teachers is available now to verified individual K-12 educators in the United States at the Claude for Teachers signup page. Teachers who sign up before June 30, 2027 receive a full year of access at no cost. A separate offering for schools and districts is in development and not yet available. In the meantime, districts can continue accessing Claude through the Claude for Nonprofits program. Alongside the product, Anthropic released a free AI Fluency for K-12 Teachers course co-developed with Teach for America, and a train-the-trainer module co-developed with the AFT -- both Creative Commons-licensed and designed to work with any AI model, not only Claude. Frequently Asked Questions How is Claude for Teachers different from ChatGPT for Teachers? Both products are free for verified U.S. K-12 educators through mid-2027 and both carry FERPA-aligned data commitments. Claude for Teachers differentiates through three technical features absent in the current ChatGPT for Teachers offering: a structured academic standards database (Learning Commons) that grounds lesson generation in state-specific learning progressions rather than general knowledge; agentic scheduling via Claude Code and Cowork, which allows recurring instructional tasks -- such as daily exit-ticket review -- to run automatically without a new prompt from the teacher; and an open-source teaching skills library on GitHub that allows other edtech builders to create Claude-compatible tools. ChatGPT for Teachers launched eight months earlier, in November 2025, and includes district-level admin controls and Microsoft 365/Google Workspace integrations that the Claude product does not yet match at the district tier. Why is Anthropic offering this for free, and what is the catch? Anthropic's business incentive is explicit in its design. Free individual teacher access generates two things money cannot easily buy: real classroom product feedback through the Detroit pilot and individual signups, and a privacy reputation co-signed by the American Federation of Teachers. Both compound if the product performs well in classrooms. Both become liabilities if a data incident occurs before Anthropic builds out a separately negotiated district-tier product with its own contracts. Districts evaluating whether to adopt Claude should treat the current FERPA-aligned addendum as a contractual starting point and confirm compliance with their own legal counsel -- particularly because the district-level offering and its associated terms are not yet available, as SQ Magazine's analysis notes. What student data does Claude for Teachers actually collect and how is it protected? According to Anthropic's documentation, Claude for Teachers data is not used for model training purposes, and student information is covered by a K-12 Data Processing Addendum written to comply with FERPA. Anthropic specifies a service level agreement for deleting stored conversations containing student data. The product is restricted to teachers only -- students cannot interact with it directly. What the addendum does not address is the data flows that occur when Claude queries MCP-connected third-party tools such as ASSISTments or TeachFX; teachers should confirm with each integration partner what data leaves their platform and under what terms. The edtech industry's most significant recent breach -- the December 2024 PowerSchool incident affecting 62 million individuals -- originated with a third-party student information system, not the primary AI platform, as TechPolicy Press analyzed. What does the nine-platform edtech integration actually enable? The integrations are built on Anthropic's Model Context Protocol, an open standard adopted by major AI companies as a way to connect AI agents to external tools without custom per-pairing integration code. Each partner runs an MCP server that Claude queries on demand; Claude's context window is populated with data from the partner system as needed. In practice: ASSISTments can generate auto-scored, standards-aligned math practice problems; Eedi surfaces bilingual diagnostic questions that reveal specific student misconceptions; TeachFX analyzes real classroom audio to give teachers feedback on their own instructional practice; Snorkl provides assignment and class-level progress data. All of this is detailed in Anthropic's Claude for Teachers announcement. The MCP architecture means other edtech developers can build Claude-compatible connections using the same open standard, potentially expanding the integration ecosystem beyond the nine partners at launch.
Needham raises SpaceX stock price target to $250 on AI, Starship By Investing.com
Investing.com - Needham raised its price target on SpaceX (NASDAQ:SPCX) to $250 from $200 while maintaining a Buy rating on Tuesday. The upgrade comes as shares trade at $136, near their 52-week low of $135.52, following an 8.2% decline over the past week. According to InvestingPro analysis, the stock appears undervalued at current levels, potentially offering investors an attractive entry point. The firm cited the company's release of Grok 4.5 on July 8, SpaceX's first AI model built for coding and agentic work. The model was trained on Cursor developer data and has received strong reviews on third-party AI benchmarks. Needham noted the model does not quite match leading models from Anthropic or OpenAI but puts SpaceXAI back on track after Elon Musk said in March the company had to completely rebuild its AI program. SpaceX announced its Starship flight 13 is scheduled to launch as early as July 16. The flight will deliver 20 full-size Starlink V3 test units to orbit and advance Ship and Booster re-usability. Needham said AI model performance and Starship success to orbit are key unlocks for the company's total addressable market. The firm raised its price target on increased confidence in execution. InvestingPro data reveals analysts predict the company will turn profitable this year, with 13 additional ProTips available to subscribers. In other recent news, flyExclusive, Inc. has completed its acquisition of aviation assets from Jet.AI. This transaction includes Jet.AI's Jet Card members, two HondaJets, one Citation CJ4, and three future Citation CJ3 delivery positions valued at approximately $4.1 million. Additionally, flyExclusive gained approximately $6.1 million in securities through indirect ownership of Space Exploration Technologies Corp. shares and about $5.3 million in cash. Meanwhile, SpaceX has received significant attention from analysts. Evercore ISI initiated coverage on SpaceX with an "outperform" rating and set a price target of $230. Stifel reiterated a "Buy" rating with a $190 price target, highlighting the upcoming Starship Flight 13 launch. Raymond James also reiterated a "Strong Buy" rating with an $800 price target, noting a significant reduction in the time between recent Starship flights. Deutsche Bank released an analysis suggesting that SpaceX could achieve cost parity between orbital and terrestrial data centers by the early 2030s. This article was generated with the support of AI and reviewed by an editor. For more information see our T&C.
Anthropic launches 'Claude for Teachers' to help US educators with lesson planning and classroom tasks - CNBC TV18
Anthropic has introduced Claude for Teachers, a new AI-powered platform designed specifically for K-12 educators in the United States. The service provides verified teachers with free access to Claude's premium features, along with teaching resources and curriculum support, aligned with academic standards in all 50 states. The artificial intelligence giant said the initiative was intended to help teachers save time on planning and routine tasks, allowing them to focus more on students. "Claude for Teachers is designed to close the gap between educational best practices and what a teacher's week allows. AI tools for teachers can strengthen instructional practice and improve student outcomes. This is the aim of Claude for Teachers: support the craft behind great teaching and protect what teachers value most -- time with their students," the company said in a blogpost. Built around teaching standards Claude for Teachers is integrated with Learning Commons, enabling the AI assistant to access academic standards across all 50 US states. The platform can generate lesson plans aligned with teaching standards while incorporating trusted educational resources, including OpenSciEd and IM v.360 from Illustrative Mathematics. Integration with K-12 tools Teachers can now connect Claude to a whole ecosystem of K-12 tools. These include ASSISTments, Brisk Teaching, Canva Education, Coteach, Diffit, Eedi, MagicSchool, Snorkl and TeachFX, allowing educators to create assignments, classroom activities, assessments and instructional materials more efficiently. How Claude for Teachers Works After completing the verification process, K-12 educators in the US receive access to Claude for Teachers, which integrates with Learning Commons and includes a collection of teaching skills developed using learning science. Anthropic said these features were created in collaboration with Learning Commons based on feedback from educators. The platform can generate lesson plans using curriculum resources that are mapped to state academic standards. It also creates classroom materials that teachers can customise before using them with students. Claude for Teachers can also personalise content by adapting lessons for students with different learning abilities and proficiency levels, helping educators provide differentiated instruction within the same classroom. In addition, the platform includes Claude Code and Cowork, enabling teachers to automate routine tasks. For example, educators can upload attendance records, diagnostics, your own notes, allowing the AI to analyse student performance and better tailor instruction. Teachers can also schedule recurring activities, such as reviewing students' daily assessments and preparing lesson adjustments for the next school day. Privacy and data protection Anthropic said Claude for Teachers has been built specifically for educators and includes privacy safeguards for student information. It said data shared through Claude for Teachers will not be used to train its AI models. The company added that student information is protected under its K-12 Data Processing Addendum, which is designed to comply with the FERPA. The company added that it is working with the American Federation of Teachers (AFT) to align its privacy practices with gold standards in K-12 education. Free access available until 2027 K-12 teachers in the US can sign up for Claude for Teachers free of charge. Anthropic said educators who register by June 30, 2027, will receive one year of free access, while a dedicated version for schools and school districts is expected to be introduced at a later date.
Anthropic safety hiring targets nuclear and bio harm
Anthropic keeps warning its own AI could help end civilisation. Its latest safety hiring spells out the fear in job titles: enforcement analysts for nuclear, chemical, biological, and cyber harm, brought in to stop Claude ever teaching anyone how to build a weapon. Critics call the lab a doomsayer. It is now spending mid-six-figure salaries to prove it means it. A look at Anthropic safety hiring shows exactly what it fears: analysts brought in to stop its models teaching anyone how to build nuclear, chemical, and biological weapons. Most job ads sell a mission. Anthropic's read like a threat assessment. The company has posted a run of openings for enforcement analysts whose job is to keep its AI from helping people build weapons, run scams, or commit cybercrime, Axios first reported. One listing seeks an "Enforcement Analyst focused on Radiological & Nuclear Harms." Others cover chemicals and explosives, financial fraud, and more. The pay lands in the mid- to upper-$200,000s. The work is not coding. Anthropic wants real-world expertise in fields like biology and explosives. It also wants people who can think like an attacker trying to slip past its defences. Naming the harm on purpose The blunt job titles are deliberate. "Ensuring our models don't provide potentially harmful information is central to responsible development," a spokesperson said. The company said it regularly hires experts in sensitive fields to stress-test its models before a release. Spelling out the exact harm, it added, is how you recruit the right people. Anthropic says hundreds of staff now work on safety, probing for weak spots and patching them. This is the company that critics call the industry's biggest doomsayer. The pattern in Anthropic safety hiring is its answer to that label. It is spending real money on the risks it keeps describing. The catastrophe Amodei keeps describing Chief executive Dario Amodei has spent months sketching the downside. In a January essay he called biological attacks the scenario that worries him most. "I do not think biological attacks will necessarily be carried out the instant it becomes widely possible," he wrote. "But added up across millions of people and a few years of time, I think there is a serious risk of a major attack, with casualties potentially in the millions or more." He has also warned about AI helping cybercriminals and empowering authoritarian states. Earlier this year Anthropic broke with the US Defense Department over the use of its technology for mass surveillance and autonomous weapons. The labs are writing their own rules OpenAI is doing the same. It is hiring a researcher on biological and chemical risks, at a base salary of up to $445,000. As models grow more capable, every serious lab is racing to staff a red team. That race is happening in a vacuum. The US still has no comprehensive AI safety law. Congress has tried for years and passed nothing. Some want a referee: Google's Demis Hassabis has floated a Wall Street-style watchdog for frontier models. Fewer than one in a hundred AI PhDs go into government, so the expertise sits inside the companies. The result is a strange kind of self-regulation. The firms building the most dangerous capability are also the ones deciding how to fence it in. Amodei has named that tension himself, calling AI companies the next tier of risk after hostile states. His careers page is the argument and the warning in one place. The people best placed to stop the catastrophe work for the company that could help cause it.
SpaceX's slide risks turning blockbuster IPO into confidence test - AOL
NEW YORK, July 15 (Reuters) - SpaceX's slip close to its initial public offering price risks turning a marquee stock-market debut into a confidence test, potentially unsettling retail investors and complicating decisions for other companies weighing high-profile listings. Elon Musk's company, spanning rockets to AI, debuted on June 12 and soared in the ensuing days, at one point valuing the company at well above $2 trillion. Since then, trading has been rocky. The stock has slipped below its $150 opening price, but remained above the $135 offer price, with concerns about lofty tech stock valuations continuing to weigh on global indexes. SpaceX shares are at risk of falling below that level. They ended on Tuesday down 2.2% at $136.08, their lowest closing level since the IPO, a week after they started trading as part of the Nasdaq 100 index <.NDX>. The stock dipped as low as $135.52. A break below the IPO price would be a psychological blow for SpaceX shares, said Matthew Maley, chief market strategist at Miller Tabak. "It raises the narrative that the stock is up on fluff, on speculation, on froth, and not on real fundamentals," Maley said. Investors who bought into the excitement around SpaceX's listing, "hoping to 'make a killing' will be disappointed," said Greg Halter, director of research at Carnegie Investment Counsel. He said weakness in SpaceX would put it more in line with 30 years of heavily hyped IPOs, where average and median returns over the first month are often negative. SpaceX did not immediately respond to a request for comment. PRICE DISCOVERY NOT PANIC? A drop below the IPO price would not be unusual for a newly listed company. Shares of Cerebras Systems, which went public in May, have dropped below the IPO price, and Meta, formerly known as Facebook, fell similarly after its debut. Investors often fixate on IPO prices and early trading, said Ryan Lee, senior vice president of product and strategy at financial services firm Direxion. "The reality is, (SpaceX) is still undergoing some of this price discovery process," Lee said. A fall for SpaceX below $135 would reflect "normal, albeit painful" market mechanics, especially as investors, venture capitalists and employees sell shares after lockups expire, said Gabriel Shahin, CEO at Falcon Wealth Planning. "A near-term dip below the $135 threshold would not fundamentally alter our current positioning or cause us to panic-sell," he said. CAUTION OR GREEN LIGHT FOR NEXT IPOS Some investors think SpaceX's stock performance could influence the market for future public listings. OpenAI and Anthropic are eyeing the public markets. Neither company responded to a request for comment. Carnegie's Halter said companies and investment banks considering large IPOs this year are watching SpaceX closely. "No one wants an IPO to flop or have the initial price be ratcheted down," Halter said. He suspects some IPOs would be pulled rather than priced at lower valuations. But Direxion's Lee said SpaceX's capital raise could encourage some companies with large funding needs to move faster. "If I'm OpenAI or if I'm Anthropic and I'm in this true arms race to build the frontier AI model and I need capital, I'm going to try to beat the other one out the door," Lee said. RISKING RETAIL TRADERS' SKEPTICISM A drop below the IPO price could hit retail investors, who received about 20% of the allocation, hard. "Many novice investors have approached SpaceX with a 'meme stock' mentality, buying in with capital they cannot afford to lose," Shahin said, warning that losses could fuel perceptions that markets favor insiders. "The market needs to understand that post-IPO volatility is normal." SpaceX's first earnings report will be a major test for the stock. Underwriters typically support stocks in the first 30 days and may do more for SpaceX given the deal's size, the public attention and the fact other high-profile offerings are imminent, said Maria Llerena, director of financial research at Domini Impact Investments. "Loss-making companies without a clear path to profitability are typically volatile and can fall below their IPO price," said Llerena. (Reporting by Laura Matthews in New York; Additional reporting by Lewis Krauskopf in New York; editing by Megan Davies and Rod Nickel)
SpaceX's slide risks turning blockbuster IPO into confidence test
NEW YORK, July 15 (Reuters) - SpaceX's (SPCX.O), opens new tab slip close to its initial public offering price risks turning a marquee stock-market debut into a confidence test, potentially unsettling retail investors and complicating decisions for other companies weighing high-profile listings. Elon Musk's company, spanning rockets to AI, debuted on June 12 and soared in the ensuing days, at one point valuing the company at well above $2 trillion. Since then, trading has been rocky. The stock has slipped below its $150 opening price, but remained above the $135 offer price, with concerns about lofty tech stock valuations continuing to weigh on global indexes. SpaceX shares are at risk of falling below that level. They ended on Tuesday down 2.2% at $136.08, their lowest closing level since the IPO, a week after they started trading as part of the Nasdaq 100 index <.NDX, opens new tab>. The stock dipped as low as $135.52. A break below the IPO price would be a psychological blow for SpaceX shares, said Matthew Maley, chief market strategist at Miller Tabak. "It raises the narrative that the stock is up on fluff, on speculation, on froth, and not on real fundamentals," Maley said. Investors who bought into the excitement around SpaceX's listing, "hoping to 'make a killing' will be disappointed," said Greg Halter, director of research at Carnegie Investment Counsel. He said weakness in SpaceX would put it more in line with 30 years of heavily hyped IPOs, where average and median returns over the first month are often negative. SpaceX did not immediately respond to a request for comment. PRICE DISCOVERY NOT PANIC? A drop below the IPO price would not be unusual for a newly listed company. Shares of Cerebras Systems, which went public in May, have dropped below the IPO price, and Meta, formerly known as Facebook, fell similarly after its debut. Investors often fixate on IPO prices and early trading, said Ryan Lee, senior vice president of product and strategy at financial services firm Direxion. "The reality is, (SpaceX) is still undergoing some of this price discovery process," Lee said. A fall for SpaceX below $135 would reflect "normal, albeit painful" market mechanics, especially as investors, venture capitalists and employees sell shares after lockups expire, said Gabriel Shahin, CEO at Falcon Wealth Planning. "A near-term dip below the $135 threshold would not fundamentally alter our current positioning or cause us to panic-sell," he said. CAUTION OR GREEN LIGHT FOR NEXT IPOS Some investors think SpaceX's stock performance could influence the market for future public listings. OpenAI and Anthropic are eyeing the public markets. Neither company responded to a request for comment. Carnegie's Halter said companies and investment banks considering large IPOs this year are watching SpaceX closely. "No one wants an IPO to flop or have the initial price be ratcheted down," Halter said. He suspects some IPOs would be pulled rather than priced at lower valuations. But Direxion's Lee said SpaceX's capital raise could encourage some companies with large funding needs to move faster. "If I'm OpenAI or if I'm Anthropic and I'm in this true arms race to build the frontier AI model and I need capital, I'm going to try to beat the other one out the door," Lee said. RISKING RETAIL TRADERS' SKEPTICISM A drop below the IPO price could hit retail investors, who received about 20% of the allocation, hard. "Many novice investors have approached SpaceX with a 'meme stock' mentality, buying in with capital they cannot afford to lose," Shahin said, warning that losses could fuel perceptions that markets favor insiders. "The market needs to understand that post-IPO volatility is normal." SpaceX's first earnings report will be a major test for the stock. Underwriters typically support stocks in the first 30 days and may do more for SpaceX given the deal's size, the public attention and the fact other high-profile offerings are imminent, said Maria Llerena, director of financial research at Domini Impact Investments. "Loss-making companies without a clear path to profitability are typically volatile and can fall below their IPO price," said Llerena. Reporting by Laura Matthews in New York; Additional reporting by Lewis Krauskopf in New York; editing by Megan Davies and Rod Nickel Our Standards: The Thomson Reuters Trust Principles., opens new tab
SpaceX's slide risks turning blockbuster IPO into confidence test
SpaceX's (SPCX-Q) slip close to its initial public offering price risks turning a marquee stock-market debut into a confidence test, potentially unsettling retail investors and complicating decisions for other companies weighing high-profile listings. Elon Musk's company, spanning rockets to AI, debuted on June 12 and soared in the ensuing days, at one point valuing the company at well above US$2-trillion. Since then, trading has been rocky. The stock has slipped below its US$150 opening price, but remained above the US$135 offer price, with concerns about lofty tech stock valuations continuing to weigh on global indexes. SpaceX shares are at risk of falling below that level. They ended on Tuesday down 2.2 per cent at US$136.08, their lowest closing level since the IPO, a week after they started trading as part of the Nasdaq 100 index. The stock dipped as low as US$135.52. A break below the IPO price would be a psychological blow for SpaceX shares, said Matthew Maley, chief market strategist at Miller Tabak. "It raises the narrative that the stock is up on fluff, on speculation, on froth, and not on real fundamentals," Maley said. Investors who bought into the excitement around SpaceX's listing, "hoping to 'make a killing' will be disappointed," said Greg Halter, director of research at Carnegie Investment Counsel. He said weakness in SpaceX would put it more in line with 30 years of heavily hyped IPOs, where average and median returns over the first month are often negative. SpaceX did not immediately respond to a request for comment. A drop below the IPO price would not be unusual for a newly listed company. Shares of Cerebras Systems, which went public in May, have dropped below the IPO price, and Meta, formerly known as Facebook, fell similarly after its debut. Investors often fixate on IPO prices and early trading, said Ryan Lee, senior vice president of product and strategy at financial services firm Direxion. "The reality is, (SpaceX) is still undergoing some of this price discovery process," Lee said. A fall for SpaceX below US$135 would reflect "normal, albeit painful" market mechanics, especially as investors, venture capitalists and employees sell shares after lockups expire, said Gabriel Shahin, CEO at Falcon Wealth Planning. "A near-term dip below the US$135 threshold would not fundamentally alter our current positioning or cause us to panic-sell," he said. Some investors think SpaceX's stock performance could influence the market for future public listings. OpenAI and Anthropic are eyeing the public markets. Neither company responded to a request for comment. Carnegie's Halter said companies and investment banks considering large IPOs this year are watching SpaceX closely. "No one wants an IPO to flop or have the initial price be ratcheted down," Halter said. He suspects some IPOs would be pulled rather than priced at lower valuations. But Direxion's Lee said SpaceX's capital raise could encourage some companies with large funding needs to move faster. "If I'm OpenAI or if I'm Anthropic and I'm in this true arms race to build the frontier AI model and I need capital, I'm going to try to beat the other one out the door," Lee said. A drop below the IPO price could hit retail investors, who received about 20 per cent of the allocation, hard. "Many novice investors have approached SpaceX with a 'meme stock' mentality, buying in with capital they cannot afford to lose," Shahin said, warning that losses could fuel perceptions that markets favor insiders. "The market needs to understand that post-IPO volatility is normal." SpaceX's first earnings report will be a major test for the stock. Underwriters typically support stocks in the first 30 days and may do more for SpaceX given the deal's size, the public attention and the fact other high-profile offerings are imminent, said Maria Llerena, director of financial research at Domini Impact Investments. "Loss-making companies without a clear path to profitability are typically volatile and can fall below their IPO price," said Llerena.
